French oil and gas major Total SA (NYSE: TOT) said July 13 that it has completed a $1.5 billion deal to acquire Engie SA's upstream LNG business to become the second-largest player in the global LNG market.
Under the deal, Total said it would make additional payments of up to $550 million to Engie if there was an improvement in the oil markets in the coming year.
Total CEO Patrick Pouyanne said in a statement that the deal will give the company a worldwide market share of 10%.
The deal will see the group manage an overall LNG portfolio of around 40 million tonnes per year by 2020 and increase its share in the U.S. market, with a 16.6% stake in Engie's Cameron LNG project, he said.